Governor Gavin Newsom has announced a plan to develop California’s Hydrogen Market Development Strategy through the Governor’s Office of Business and Economic Development (GO-Biz). The approach aims to build a renewable hydrogen market akin to the Zero-Emission Vehicle Market Development Strategy to help the state progress toward zero emissions. The move is vital for achieving California’s climate objectives, including a clean electric grid and net-zero carbon emissions.

California is also in contention to become a federally funded Hydrogen Hub under a program leveraging $8 billion from the Bipartisan Infrastructure Law. The development strategy will concentrate on accelerating clean energy deployment, decarbonizing transportation and industrial sectors, aligning state agencies, defining roles, and delivering projects with possible new financing models and procurement initiatives. Community engagement and equity considerations are also included in the plan.

The initiative follows the Governor’s executive order to create an Infrastructure Strike Team and includes collaboration with California’s Alliance for Renewable Clean Hydrogen Energy Systems (ARCHES), a public-private partnership. Key stakeholders expressed enthusiasm for the potential of hydrogen to grow the economy, clean the air, and lead the nation’s clean energy transition.

“Hydrogen has tremendous potential to not only grow our economy but also clean our air, create family-supporting jobs, and lead the nation’s clean energy transition,” said Go-Biz Director Dee Dee Myers in the announcement. “The ARCHES model provides an incredible opportunity to accelerate this market and drive down cost for everyone—while unlocking critical community benefits.”